Ezel / IRS Rulings / 1041044
Chief Counsel Advice 1041044 Released October 15, 2010 Advice

CCA 1041044: IRC § 3402(d) may abate withholding in an erroneous FICA and SECA treatment

Apply this to your situation

This page covers one taxpayer's ruling from 2010, which can't be cited as precedent. Ask about your situation and see what the current Code and IRS guidance say, with citations.

Currency note: this determination was released in 2010
Statutory amendments, regulation changes, court decisions, or later IRS guidance may have changed the analysis since then. Treat this page as historical context, not current tax advice. Verify current law before relying on any specific rule, threshold, or position mentioned here.
Not precedent. Under 26 U.S.C. § 6110(k)(3), this written determination may not be used or cited as precedent. It resolved one taxpayer's situation on its specific facts, and identifying details were redacted by the IRS before release. The official IRS release (linked on this page as a PDF) is the authoritative source.
About this page: The plain-English summary and ruling snapshot below were written by Ezel based on the official IRS release. The full text is the IRS's own document.
View official IRS release (PDF)

Plain-English summary

The Chief Counsel’s advice addresses an erroneous treatment involving income tax withholding, FICA tax, and SECA tax. It states that IRC § 3402(d) may permit abatement of the income tax withholding, and that IRC § 6521 may allow correction and a credit or refund of excess SECA tax when the employee’s Form 1040 limitations period has expired.

Ruling snapshot

  • Question: Which provisions may correct erroneous withholding and excess SECA tax when FICA tax is paid?
  • Outcome: Advice given
  • Key authorities: IRC §§ 3402(d), 6521; IRC § 6110(k)(3)

Full text (IRS public release)

ID: CCA_2010092908390970 Number: 201041044
Release Date: 10/15/2010
Office: -----------------------------
UILC: 3402.00-00, 6521.01-00

From: ----------------------
Sent: Wednesday, September 29, 2010 8:39:16 AM
To: ------------------
Cc:
Subject: 3402(d) abatement

The abatement provision of IRC § 3402(d) may apply, but only with respect to the income tax
withholding. If the taxpayer pays the FICA tax, the employee may be entitled to a refund of the portion of
the SECA tax he paid that exceeds his share of the FICA tax. If the statute of limitations period has
expired for the employee’s Form 1040, the mitigation provision of IRC § 6521 may still permit the
employee to correct the erroneous treatment and get a credit or refund of the SECA tax to the extent it
exceeds his share of the FICA tax.

Get today's answer for your situation

You just read what the IRS ruled for one taxpayer in 2010, and it can't be cited as precedent. Ezel checks the current Internal Revenue Code and IRS guidance and answers your specific situation, with citations.

Opens in Ezel Pro. Every answer cites the authority it relies on.